We want to give a significant loan to a company that wants to expand its business. What collateral is required of him to secure a loan? Which guarantee is legally the most reliable?

We recommend using a mortgage. In a situation where a company has granted a loan but the borrower is in financial difficulties for some reason, the lender has an advantageous situation if a mortgage has been set up in his favor, which can be realized if necessary and thus get his money back. Although a mortgage is a popular guarantee in the eyes of many creditors, its establishment and use are subject to some control by the legislator. Thus, a formal requirement for notarial certification is prescribed by law in accordance with the Law of Property Act for a mortgage contract. A lien is a right of realization; in the event of non-performance or improper performance of a claim secured by a pledge, the creditor has the right to demand satisfaction of the money received from the sale of the pledged property. This means that if, for example, a mortgage has been set up to secure a loan, the mortgagee may demand the sale of the mortgaged property. The money received from the sale can cover your claim, as well as a collateral claim, including interest and a contractual penalty.

I am a resident of an apartment building, but my peace of mind has been violated for a long time by the disturbing activities of our neighbors. For example, the sounds of using tools, knocking, the sounds of throwing things, any other noise caused by unknown factors, and so on. What legislation can I rely on if I want this disruptive practice to stop?

Pursuant to § 31 of the Apartment Ownership and Apartment Associations Act (abbreviation - KrtS), an apartment owner is required to refrain from activities the effect of which on other apartment owners exceeds the effects arising from the normal use of ownership. Pursuant to § 31 (4) of the Criminal Code, an apartment owner is required to ensure that his or her family members, temporary residents and persons using apartment ownership also comply with the provisions of § 31. § 143 (1) of the Law of Property Act (AÕS) provides that the intentional directing of harmful effects to a neighboring immovable is prohibited, including noise and shocks. § 143 (2) of the CAA provides that if the influences specified in subsection (1) of this section significantly impair the use of an immovable, but the influencer cannot economically be expected to eliminate such influences, the owner of the affected immovable has the right to demand reasonable compensation from the owner. Thus, you can demand that the effects be eliminated and you can also demand reasonable compensation from your neighbors.

I'm a landlord. I wonder if a tenant would be in debt and it would be necessary to exercise the right of lien, for example in the event of bankruptcy - which pledgee will have priority - the landlord or the holder of the commercial pledge?

It must be taken into account that a commercial pledge does not extend to objects encumbered with a pledge, such as property for which a movable lien has arisen on the basis of law - the lessor's lien. Statutory lien rights are excluded from the commercial pledge. The Supreme Court has found that as long as the creation of the lessor's lien is related to the day-to-day economic activities of the debtor, the commercial pledge does not extend to property for which a movable lien has arisen on the basis of law. However, lawyers have also found that the creation of a legal lien on an object encumbered by a commercial pledge does not end with respect to the object of the commercial pledge, and their respective rankings must be determined according to the time of creation of the pledge. Thus, in the case of a landlord's lien, a situation may arise where the commercial pledgee may be deprived of valuable collateral, such as goods in stock or production equipment. A possible solution would be for the commercial pledgor and the landlord to agree on the ranking of the lien and the person holding the lessor's lien waives the first ranking in favor of the commercial pledgor to the extent necessary to satisfy the commercial pledger's claims.

I am a property owner who wants to build something more "practical" instead of a garage. The construction area of the garage is 97 m². Considering my activities as a garage overhaul, is a construction notice enough and neighbors' approvals are not required?

The possibility to use the construction notice depends on the size of the surface under the building. The necessity of a construction notice is determined by the table in Annex 1 to the EhS concerning the construction notice, construction project and construction permit. The table stipulates that the construction notice and project are sufficient for the reconstruction of a residential building and a building necessary for its servicing, the construction area of ​​which exceeds 60 m2, the same applies to an extension of up to 33%, but an extension of more than 33% requires a building permit. Reconstruction (reconstruction) offers wider possibilities and can be done on the basis of a construction notice and a project. EhS 4 (3) provides that the reconstruction or reconstruction of a building is construction in the course of which the properties of the existing building change significantly. Reconstruction of a building is primarily construction in the course of which: 1) the boundary structures of the building are changed; 2) the load-bearing and stiffening structures of the building are amended and replaced; 3) a technical system is installed, modified or demolished which changes the characteristics of the construction work, including the external appearance; 4) the operating parameters of the construction work or the technology used are significantly changed; 5) the structure is brought into conformity with the requirements corresponding to the intended use; 6) a partially or completely destroyed building is restored. However, the fact that an existing building is being demolished can be a problem. § 4 (4) of the EhS provides that if the purpose of demolition is to construct a structure essentially similar to the location of the demolished building, it may be regarded as reconstruction or restoration of the building. If the purpose of demolition is to build a substantially new building on the site of a demolished building, it is the demolition of one building and the construction of another building, that is, the erection or construction. A building is essentially similar if its purpose, architectural solution and volume do not change. Thus, if another building is built instead of a garage, it is probably a erection or construction that requires a building permit in accordance with EhS Annex No. 1.

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